Industry Canada survey of Angel investing 2000-2006
The most recent NACO research project took place over the spring and summer of 2009. It was a survey, on behalf of Industry Canada, of Angel investments in the 2000-2006 time frame. With the assistance of students from Ryerson University’s Ted Rogers School of Management, the anonymized details of over 300 Canadian investments in early-stage companies were recorded.
We asked about the type of company, any co-investors of any type, and whether and what kind of exits were achieved. Collation and analysis of the aggregate results of this survey are underway and some initial findings should be released by the spring of 2010.
One-question survey August 18th, 2009
Using the SaaS SurveyMonkey, we asked a number of Angel investors one question: What are the most challenging issues you currently face as an Angel investor or Angel group manager? They ranked their top five choices of the following:
- Deal Flow Quality/Quantity
- Forced Exits (By Others) (3)
- Agreement on Valuation
- Agreement to a Term Sheet
- Getting Past Due Diligence & Closing the Deal (4)
- Angel Group Sustainability (2)
- Angel Group Membership
- Managing Portfolio Companies (1)
- Insufficient Co-Investors
- Market Uncertainty
- Keeping Investees Capital-Efficient
- Other (please specify)
We got 90 responses, which amounted to a response rate of 14%. The ranking of the most popular choices that resulted are in brackets above.
We also provided space for comments, and all of it was very interesting. Owing to limited space we can only summarize: while many concentrated on the limited scope of exits within a reasonable time frame, some expressed concern about the challenge of finding people to lead investments within a group of Angels, and a couple spoke of the elimination of incentive for Angels by cram-downs in later rounds that reduced their returns.
Do you have an idea for a future quick survey? Contact us today!
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